NEW DELHI: In a move aimed at tackling inflated treatment costs and curbing rising health insurance premiums, the Indian government plans to bring the National Health Claims Exchange (NHCE) under the direct supervision of the Finance Ministry and the Insurance Regulatory and Development Authority of India (IRDAI), a senior government source told Reuters.
The NHCE, currently overseen by the National Health Authority under the Health Ministry, serves as a digital bridge between insurers, hospitals, and patients. It was developed in collaboration with IRDAI but is not currently regulated by the authority. Officials now believe stricter oversight will help boost insurers’ bargaining power to set standardized treatment costs and prevent hospitals from overcharging patients, particularly those with higher insurance cover.
According to the source, a joint analysis by the government and IRDAI found widespread price inflation in medical treatment, contributing to rising premium rates and making health coverage unaffordable for many. This comes amid a projected 13% rise in healthcare costs in 2025 in India — higher than the global average of 10%, as per Aon’s Global Medical Trend Rates Report.
Industry data shows a concerning trend: health insurance premium growth has slowed to just 9% in 2024–25, down from over 20% the previous year, primarily due to fewer policy renewals and affordability issues.
Authorities hope the proposed changes will restore consumer trust, ensure fair pricing in healthcare, and improve access to insurance.